MACRO ECONOMIC NEWS

WHAT A BEAUTIFUL MORNING THIS IS! WISHING A STUNNING DAY AHEAD.

Macro Economic News 01 Aug 2019

 

Monsoon rains in the coming weeks are likely to make up for a shortfall in the first two months of the season that began in June. The Federal Reserve cut interest rates, but the head of the U.S. central bank said the move might not be the start of a lengthy campaign to shore up the economy against risks including global weakness. OPEC oil output hit an eight-year low in July as a further voluntary cut by top exporter Saudi Arabia deepened losses caused by U.S. sanctions on Iran and outages elsewhere in the group. The European region’s economy is slowing again as its factories count the cost of increased uncertainty about global trade rules, underpinning worries at the Federal Reserve about the impact of weaker world demand on U.S. growth. Brazil’s central bank cut its benchmark interest rate for the first time in 16 months amid sputtering economic growth, high unemployment and slow inflation.

 

FINANCIAL TIMES

[I]  Fed rate cut is a ‘mid-cycle adjustment’, Powell says

[I]  China accounting scandal threatens corporate fundraising

[I]  Eurozone economic growth cools in second quarter

[I]  Germany rejects US request for help in the Gulf

[I]  Beijing hits at Trump after brief trade talks

[I]  China suspends individual tourist permits to Taiwan

 

REUTERS

[I]  Monsoon rains to make up early shortfall: IMD chief

[I]  India receives 42% more rains than average this week: IMD

[I]  Sales slumps in China, India clobber automakers banking on Asia for growth

[I]  China factory activity shrinks again in July, pressure eases slightly: Caixin PM

[I]  China central bank skips OMO as markets wait to see if it will follow Fed

[I]  Fed cuts interest rates, signals it may not need to do more

[I]  OPEC oil output hits lowest since 2011: Reuters survey

[I]  U.S., China to keep talking on trade after little progress in Shanghai

[I]  Bank of England to lean against market rate cut bets as Brexit nears

 

BLOOMBERG 

[I]  Gold Falls as Powell Comments Damp Bets on Aggressive Rate Cuts

[I]  The British Pound Is Starting to Resemble Emerging-Market Currencies

[I]  Powell Smashes Yield Curve Flatter by Sowing Doubts on Rate Cuts

[I]  Brazil's Larger-Than-Expected Rate Cut Is a Sign of More to Come

[I]  PBOC Stays on Hold After Fed in Sign Easing Is Limited for Now

[I]  Powell Suggests Fed Embarking on 1990s-Style Mini Easing Cycle

[I]  Worst Thai Drought in a Decade Adds Pressure for Policy-Rate Cut

 

WALL STREET JOURNAL

[I]  Fed Cuts Rates by a Quarter Point in Precautionary Move

[I]  Slow Progress in Trade Talks Is Partly a Result of China’s New Tactic to Wait

[I]  U.S. Private Sector Added 156,000 Jobs in July

[I]  German Opponents of ECB’s Crisis Strategy Make a Last Stand

[I]  Europe’s Stalling Economy Sounds Alarm for Global Growth

[I]  Trump to Sign Medicare Order as Part of Attack on Democrats’ Health-Care Message

[I]  The President, the Fed, and the Cut

[I]  Brazil’s Central Bank Cuts Its Benchmark Interest Rate

 

BUSINESS LINE

[I]  Infrastructure sector grows at slowest pace in four years

[I]  Govt, exporters discuss strategy to increase exports to US, China

[I]  Monsoon revival in July cuts rain deficit to 9%

[I]  Govt, exporters discuss strategy to increase exports to US, China

[I]  Core sector growth slows to a 0.2% crawl in June

[I]  Falling cotton yarn exports worry textile industry

 

ECONOMIC TIMES

[I]  Fiscal deficit crosses 61% of budgeted target

[I]  Big Tech may have to pay more to do business here

[I]  US yield curve flattens on jitters about Fed 'policy error'

[I]  10-year bond yield drops as FPIs shift from equities to debt

[I]  India's exports need to contribute USD 1 trillion in economy: Piyush Goyal

[I]  Government receipts only 14% of full year target in April-June quarter

[I]  Motor Vehicles Bill 2019: Complete list of fines you will pay for traffic violations

[I]  Union Cabinet approves bill to regulate chit funds industry

[I]  Govt wants minimum laws, maximum governance : Labour Secretary H L Samariya

 

BUSINESS STANDARD

[I]  Govt softens stance on time frame for transition to electric vehicles

[I]  India Inc worried over three-year jail provision for violation of CSR norms

[I]  At 42%, Chinese smartphone majors' India market share reaches highest level

[I]  79% CEOs see growth prospects for Indian economy in 2019: KPMG Report

[I]  Office space absorption may touch record 42 million sqft this year: Report

[I]  At $2.73 trn, India's economy pushed to 7th spot; UK, France march ahead

[I]  Core sector growth at 50-month low in June; 4 out of 8 sectors contract

 

MARKETS (08:00 am)

[I]  SGX NIFTY Fut: 11071;  USDINR DGCX: 69.3725;  DJIA Mini: 26750;  FTSE 100 Fut: 7524;  NIKKEI 225 Fut: 21470;  EUR-USD: 1.1049; Crude Oil (WTI): 57.85;  Gold (Spot): 1410

 

Best Regards, ARBIND
01 Aug 2019